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A BILL TO BE ENTITLED
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AN ACT
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relating to the adoption of the Uniform Foreign-Country Money |
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Judgments Recognition Act. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle C, Title 2, Civil Practice and Remedies |
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Code, is amended by adding Chapter 36A to read as follows: |
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CHAPTER 36A. ENFORCEMENT OF JUDGMENTS OF OTHER COUNTRIES |
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Sec. 36A.001. SHORT TITLE. This chapter may be cited as the |
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Uniform Foreign-Country Money Judgments Recognition Act. |
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Sec. 36A.002. DEFINITIONS. In this chapter: |
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(1) "Foreign country" means a government other than: |
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(A) the United States; |
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(B) a state, district, commonwealth, territory, |
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or insular possession of the United States; or |
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(C) any other government with respect to which |
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the decision in this state as to whether to recognize a judgment of |
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that government's court is initially subject to determination under |
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Section 1, Article IV, United States Constitution (the full faith |
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and credit clause). |
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(2) "Foreign-country judgment" means a judgment of a |
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court of a foreign country. |
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Sec. 36A.003. APPLICABILITY. (a) Except as otherwise |
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provided in Subsection (b), this chapter applies to a |
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foreign-country judgment to the extent that the judgment: |
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(1) grants or denies recovery of a sum of money; and |
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(2) under the law of the foreign country in which the |
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judgment is rendered, is final, conclusive, and enforceable. |
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(b) This chapter does not apply to a foreign-country |
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judgment that grants or denies recovery of a sum of money to the |
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extent that the judgment is: |
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(1) a judgment for taxes; |
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(2) a fine or other penalty; or |
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(3) a judgment for divorce, support, or maintenance, |
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or other judgment rendered in connection with domestic relations. |
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(c) A party seeking recognition of a foreign-country |
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judgment has the burden of establishing that this chapter applies |
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to the foreign-country judgment. |
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Sec. 36A.004. STANDARDS FOR RECOGNITION OF FOREIGN-COUNTRY |
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JUDGMENT. (a) Except as otherwise provided in Subsections (b) and |
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(c), a court of this state shall recognize a foreign-country |
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judgment to which this chapter applies. |
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(b) A court of this state may not recognize a |
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foreign-country judgment if: |
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(1) the judgment was rendered under a judicial system |
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that does not provide impartial tribunals or procedures compatible |
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with the requirements of due process of law; |
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(2) the foreign court did not have personal |
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jurisdiction over the defendant; or |
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(3) the foreign court did not have jurisdiction over |
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the subject matter. |
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(c) A court of this state is not required to recognize a |
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foreign-country judgment if: |
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(1) the defendant in the proceeding in the foreign |
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court did not receive notice of the proceeding in sufficient time to |
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enable the defendant to defend; |
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(2) the judgment was obtained by fraud that deprived |
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the losing party of an adequate opportunity to present the party's |
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case; |
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(3) the judgment or the cause of action on which the |
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judgment is based is repugnant to the public policy of this state or |
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the United States; |
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(4) the judgment conflicts with another final and |
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conclusive judgment; |
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(5) the proceeding in the foreign court was contrary |
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to an agreement between the parties under which the dispute in |
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question was to be determined otherwise than by proceedings in the |
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foreign court; |
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(6) jurisdiction was based only on personal service |
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and the foreign court was a seriously inconvenient forum for the |
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trial of the action; |
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(7) the judgment was rendered in circumstances that |
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raise substantial doubt about the integrity of the rendering court |
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with respect to the judgment; |
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(8) the specific proceeding in the foreign court |
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leading to the judgment was not compatible with the requirements of |
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due process of law; or |
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(9) it is established that the foreign country in |
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which the judgment was rendered does not recognize judgments |
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rendered in this state that, but for the fact that they are rendered |
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in this state, would constitute foreign-country judgments to which |
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this chapter would apply under Section 36A.003. |
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(d) A party resisting recognition of a foreign-country |
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judgment has the burden of establishing that a ground for |
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nonrecognition stated in Subsection (b) or (c) exists. |
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Sec. 36A.005. PERSONAL JURISDICTION. (a) A |
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foreign-country judgment may not be refused recognition for lack of |
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personal jurisdiction if: |
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(1) the defendant was served with process personally |
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in the foreign country; |
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(2) the defendant voluntarily appeared in the |
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proceeding, other than for the purpose of protecting property |
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seized or threatened with seizure in the proceeding or of |
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contesting the jurisdiction of the court over the defendant; |
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(3) the defendant, before commencement of the |
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proceeding, agreed to submit to the jurisdiction of the foreign |
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court with respect to the subject matter involved; |
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(4) the defendant was domiciled in the foreign country |
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when the proceeding was instituted or was a corporation or other |
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form of business organization whose principal place of business was |
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in, or that was organized under the laws of, the foreign country; |
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(5) the defendant had a business office in the foreign |
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country and the proceeding in the foreign court involved a cause of |
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action arising out of business done by the defendant through that |
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office in the foreign country; or |
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(6) the defendant operated a motor vehicle or airplane |
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in the foreign country and the proceeding involved a cause of action |
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arising out of that operation. |
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(b) The list of bases for personal jurisdiction in |
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Subsection (a) is not exclusive. A court of this state may |
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recognize bases of personal jurisdiction other than those listed in |
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Subsection (a) as sufficient to support a foreign-country judgment. |
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Sec. 36A.006. PROCEDURE FOR RECOGNITION OF FOREIGN-COUNTRY |
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JUDGMENT. (a) If recognition of a foreign-country judgment is |
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sought as an original matter, the issue of recognition may be raised |
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by filing an action seeking recognition of the foreign-country |
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judgment. |
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(b) If recognition of a foreign-country judgment is sought |
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in a pending action, the issue of recognition may be raised by |
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counterclaim, cross-claim, or affirmative defense. |
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Sec. 36A.007. EFFECT OF RECOGNITION OF FOREIGN-COUNTRY |
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JUDGMENT. If the court in a proceeding under Section 36A.006 finds |
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that the foreign-country judgment is entitled to recognition under |
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this chapter, then, to the extent that the foreign-country judgment |
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grants or denies recovery of a sum of money, the foreign-country |
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judgment is: |
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(1) conclusive between the parties to the same extent |
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as the judgment of a sister state entitled to full faith and credit |
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in this state would be conclusive; and |
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(2) enforceable in the same manner and to the same |
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extent as a judgment rendered in this state. |
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Sec. 36A.008. STAY OF PROCEEDINGS PENDING APPEAL OF |
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FOREIGN-COUNTRY JUDGMENT. If a party establishes that an appeal |
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from a foreign-country judgment is pending or will be taken, the |
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court may stay any proceedings with regard to the foreign-country |
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judgment until: |
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(1) the appeal is concluded; |
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(2) the time for appeal expires; or |
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(3) the appellant has had sufficient time to prosecute |
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the appeal and has failed to do so. |
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Sec. 36A.009. STATUTE OF LIMITATIONS. An action to |
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recognize a foreign-country judgment must be brought within the |
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earlier of: |
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(1) the time during which the foreign-country judgment |
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is effective in the foreign country; or |
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(2) 15 years from the date that the foreign-country |
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judgment became effective in the foreign country. |
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Sec. 36A.010. UNIFORMITY OF INTERPRETATION. In applying |
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and construing this chapter, consideration must be given to the |
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need to promote uniformity of the law with respect to the subject |
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matter of this chapter among states that enact a law based on the |
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uniform act on which this chapter is based. |
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Sec. 36A.011. SAVING CLAUSE. This chapter does not prevent |
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the recognition under principles of comity or otherwise of a |
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foreign-country judgment not within the scope of this chapter. |
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SECTION 2. Chapter 36, Civil Practice and Remedies Code, is |
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repealed. |
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SECTION 3. This Act applies to a pending suit in which the |
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issue of recognition of a foreign-country money judgment is or has |
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been raised without regard to whether the suit was commenced |
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before, on, or after the effective date of this Act. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2017. |
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